Record profits for Pressure Technologies
PRESSURE Technologies, the manufacturer of gas storage vessels used in the shipping, oil and defence industries, revealed it had more than trebled annual profits and said it was on course to become a £40m turnover company within five years.
The turnover target has been a key part of the Sheffield-based company’s growth strategy.
Pre-tax profit increased to £5m for the year to September 27 compared to £1.4m last time. Turnover increased from £15.1m to £23.7m.
Richard Shacklady, chairman of Pressure Technologies, which is the holding company for Chesterfield Special Cylinders, said: “I am delighted to announce an outstanding set of results for a ‘real engineering company’.
“Pressure Technologies has delivered exceptional organic growth and our strong balance sheet leaves us well positioned to exploit a number of medium-term opportunities we have already identified in related specialist, niche markets for engineered products and services.”
Mr Shacklady said Pressure would propose a maiden final dividend of 4p, giving a total dividend for the year of 6p.
The company also had a record order book of £23m at the year end.
Mr Shacklady said the company’s diversification strategy, which included the creation of Chesterfield BioGas, which offers a complete system for the upgrade, storage and dispensing of energy-efficient biogas in the form of naturally generated biomethane, would continue and there would be continuing investment in the group’s skills base and research and development.
The company created Chesterfield BioGas last month in response to the signing of a co-operation agreement with Greenlane Biogas, the world leader in biogas upgrading from raw biogas to vehicle quality fuel.
He added: “We are also on course to exceed one of the major aims in our flotation strategy to be a £40m turnover business within five years’, as the group achieved record exports to its oil and gas exploration and production customers, as well as winning selected overseas defence contracts.”
He said Pressure’s strategy of penetrating what it sees as growth sectors, such as global energy and high pressure gases markets, as well as establishing a presence in niche markets and acquiring businesses, was progressing.
Orders have been won from overseas defence and aerospace programmes in Europe and Asia and for offshore diving support vessels.
Mr Shacklady added: “The board is confident that Pressure Technologies will deliver further growth in the short term and, as we roll out our diversification strategy on a controlled and profit driven basis, the medium to long term future of the group remains strong.”
